Hong Kong Stocks Open Slightly Lower; Tech Sector Gains with Kingdee International Up Over 5%

Stock News
Jun 01

The Hang Seng Index opened 0.01% lower, while the Hang Seng Tech Index rose 0.22%. Technology and internet stocks showed strength, with Kingdee International gaining over 5%, Meituan advancing more than 2%, and Kuaishou rising over 1%.

Regarding the outlook for Hong Kong stocks, Everbright Securities believes that while a bottom area has emerged, the timing for a reversal is not yet present. The market's reaction to negative factors is already quite comprehensive. The return of overseas passive funds and the sustained inflow of southbound capital provide a solid value floor for the Hong Kong market. However, active foreign capital representing global long-term investors has not yet returned on a large scale, leaving the market lacking the most crucial driver for a sustained trend. The strength of China's economic recovery and the sustainability of corporate earnings still require more data for verification. Currently, the Hong Kong stock market, particularly the Hang Seng Tech Index, is in a complex bottom-building phase.

Industrial Securities noted that for Hong Kong stocks to form a truly sustainable index rally, more conditions need to align. The recent adjustment in Hong Kong stocks, especially the Hang Seng Tech Index, has primarily stemmed from downward revisions in earnings expectations.

China Merchants Securities stated that looking ahead, the probability of Hong Kong stocks experiencing volatile upward movement remains relatively high. The current valuation of Hong Kong stocks is still at a low level compared to other major markets, providing a favorable safety margin.

UBS expects the gold price to reach $5,500 per ounce by the end of 2026 and the first half of 2027, lowering its previous forecast by $200 to $400. The report indicates that high oil prices triggered by Middle East conflicts are pushing up inflation expectations, prompting global central banks to maintain a relatively hawkish stance. The simultaneous strengthening of U.S. Treasury yields and the U.S. dollar is putting renewed pressure on the "carrying cost" of gold. Additionally, UBS significantly lowered its price forecast for silver and its expectations for a supply deficit in 2026.

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